AMD on Monday launched a line of computer processors that use less power, saying its adoption of new manufacturing techniques will help it compete with rival Intel.

The development helps AMD close a manufacturing gap with Intel, which has been using the 65nm advanced chipmaking process for more than a year.

Each new generation of chipmaking tools shrinks circuitry further, making chips run faster and use less energy. It also boosts profits by letting chipmakers produce more chips from a single slice of silicon.

AMD is essentially taking an existing chip design, the Athlon 64 FX for desktop computers, and shrinking it. The processors are priced from $169 to $301 depending on speed and use about 30 percent less energy than the earlier versions.

It will soon roll out lower power chips for laptops and the server computers that run business networks, as well as chips that deliver a mix of lower power and faster performance.

The chips have circuitry that is only 65 nanometers wide, or about 1,000 times thinner than a human hair. AMD's current chips are made with 90-nanometer circuitry.

AMD also plans to make chips on 45-nanometer technology by the middle of 2008, with 32-nanometer chips to follow less than two years after that. The company works with IBM to develop new manufacturing techniques.